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Editorial

Canada's debt to disabled war veterans

March 1, 2004

The Liberal Canadian government has been less than humane to disabled Canadian war veterans. The red tide that washes everything but the politically correct away, has taken its toll of those who sacrificed life and limb for our freedom.

Germane points in the recent class-action lawsuit of veterans, against the federal government were not part of public awareness.

David G. Greenaway, a Windsor-based lawyer representing disabled Canadian war veterans took the trouble to shed some light on the salient points of the case in a well-crafted letter to the National Post.

Given the substance of Greenaway’s revelations and how we owe our freedom to the veterans should give pause to average Canadians.

"The veterans’ legal team has conducted negotiations with the federal government. Respect for confidentiality and the possibility of future negotiations prevent us from going into details," Greenaway reports. "Our hands are tied."

"There was no offer, however, from the government of Canada. The sum mentioned--$780 million–is the government’s estimation of the amount they feel they owe. Our estimate of their liability at between $1.5-and $3.5-billion differs considerably.

"The veterans’ side never "walked away" from negotiations.

"The veterans did not elect to go to the Supreme Court of Canada, the government did. It was the government’s appeal and the veterans had to respond."

Greenaway’s last point should be the most shocking of all: "The veterans’ class-action lawsuit goes on notably because the Supreme Court did not deal with the central issue of the lawsuit; that’s because successive federal governments failed to properly invest the disabled veterans’ funds for more than 80 years."

Then there’s the matter of taxation of the amounts that the veterans stand to receive, something that Greenaway identifies as "an important aspect of this case."

"Whatever sums the government of Canada is obliged to pay out, to a veteran or a widow, by virtue of this lawsuit, are subject to income tax. Had the government of Canada lived up to its legal obligations, the veterans would have received the amounts owing to them, year by year, over the course of decades. The annual payments would have been relatively modest and taxed by the government at modest rates. Today, however, if a veteran receives a large payment (i.e. representing the amounts owing over a large number of years) then the rate of taxation will be considerably higher, in the range of 50 percent. The amounts so taxed would return to government coffers.

"In other words, the government stands to benefit unfairly by having failed to live up to its obligations to the veterans. This remains a serious concern to the veterans’ legal team. To not express these concerns would not be in our clients’ interest."

The well-worded explanation of lawyer David Greenway should strike a chord of sympathy, not just in the heart of the Canadian government but in the heart of every living Canadian.

Without the sacrifice of our war veterans, none of us would be here.



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